Consumer confidence falls in June
NEW YORK (AP) -- The New
York-based Conference Board said Tuesday that its Consumer Confidence Index now
stands at 49.3, down from its revised May level of 54.8. Because consumer
spending accounts for more than two-thirds of economic activity in the United
States, economists and investors watch it closely.
Both components of the
consumer confidence gauge fell this month. The Present Situation Index of how
shoppers feel now about the economy declined to 24.8 from 29.7 in May. And the
board's Expectations Index, shoppers' outlook for the next six months, dropped
to 65.5 from 71.5.
Home prices post 18.1
percent annual drop in April
NEW YORK (AP) -- Newfound
signs of stability in the housing market could still be threatened by rising
foreclosures and slow efforts to stop them, according to two reports released
Tuesday.
The Standard &
Poor's/Case-Shiller index of 20 major cities showed the smallest monthly
decline since June 2008. The index tumbled by 18 percent in April from the year
before, but for the third month in a row it was not a record decline. Yearly
losses in 13 metros improved compared to March.
Stocks slide on dip in
consumer confidence
NEW YORK (AP) -- Stocks fell
sharply Tuesday after a private research group said consumer confidence
unexpectedly fell in June.
Even with the slide, stocks
ended the second quarter with sharp gains. The Standard & Poor's 500 index
is up 15 percent for the April-June period, its best quarter in a decade.
After months of economic
data showing that the recession was not getting worse, investors are hungry for
signs that the economy is actually growing. Investors are nervous that the
economy's rebound won't be as robust as hoped.
Administration sends
Congress consumer legislation
WASHINGTON (AP) -- President
Barack Obama asked Congress on Tuesday to create a new agency to police the
fine print on credit card bills and mortgage documents and determine what fees,
penalties and interest rates are fair.
The Consumer Financial
Protection Agency would be in charge of regulating credit cards, savings
accounts and mortgages in the same way other government agencies regulate the
safety of drugs, food and toys.
Republicans and bankers,
however, already are balking and gearing up for a fight. Part of the agency's
mission would be to implement new restrictions on credit card companies passed
by Congress this spring. That law prohibited arbitrary rate hikes and limited
access to cards by minors.
FDA panel recommends smaller
doses of painkillers
ADELPHI, Md. (AP) --
Government experts say the maximum dose listed for Tylenol and dozens of other
painkillers should be reduced to help curb deadly overdoses.
In a series of votes
Tuesday, a Food and Drug Administration panel endorsed lowering the maximum dose
of over-the-counter acetaminophen -- the key ingredient in Tylenol, Excedrin
and other medications. But panelists rejected a proposal to pull NyQuil, and
other cold and cough medicines that combine acetaminophen with other drugs, off
the market because of their role in overdosing.
Oil prices fall in volatile
trading
COLUMBUS, Ohio (AP) -- Oil
prices fell in volatile trading Tuesday not long after hitting an eight-month
high.
Benchmark crude for August
delivery dipped $1.60 to settle at $69.89 a barrel on the New York Mercantile
Exchange after swinging between $68.90 and $73.38 in early trading.
It has been an
extraordinarily volatile year, which began with crude prices near $40 per
barrel, less than a third of what a barrel cost in July, before going on an
extended rally for the past two months as the second quarter comes to a close.
Judge revokes bond for Texas
financier Stanford
HOUSTON (AP) -- A federal
judge on Tuesday revoked the bond of Texas financier R. Allen Stanford,
ordering he be kept in jail while he awaits trial on charges alleging he
swindled investors out of $7 billion.
U.S. District Judge David
Hittner issued an order overturning a magistrate judge's decision last week to
allow Stanford to be free on $500,000 bond but be under GPS monitoring and home
detention. Stanford has been in custody since being indicted and arrested June
18.
Stanford's attorney, Dick
DeGuerin, said he was disappointed with the decision and would appeal it to the
5th U.S. Circuit Court of Appeals in New Orleans.
Corning raises 2Q glass
volume forecast again
ROCHESTER, N.Y. (AP) --
Specialty glass maker Corning Inc. said Tuesday it is getting a big lift from
rising sales of flat-screen televisions, most notably in China.
For the second time in five
weeks, the world's largest maker of liquid-crystal-display glass said it is
raising its forecast for second-quarter sales of its super-thin monitors.
Corning now expects LCD
glass volume to rise 65 percent from the first quarter. It had predicted more
than 40 percent growth in the quarter, then raised its estimate to more than 50
percent on May 28.
AP Exclusive: Jackson said
net worth $236M in 2007
NEW YORK (AP) -- Michael
Jackson claimed to have a net worth of $236 million as of March 31, 2007,
according to financial documents obtained by The Associated Press that shed
light on the late pop star's murky finances and prodigious borrowing.
The documents also show he
had little cash on hand to finance his lavish lifestyle. They offer the
clearest account yet on the state of Jackson's financial empire, which is
expected to become the focus of a legal battle between the singer's family and
creditors.
Jackson had $567.6 million
in assets, including his Neverland Ranch, his share of the Sony/ATV Music
Publishing catalog that includes the rights to songs by the Beatles, and an
assortment of cars, antiques and collectibles.
Madoff behind bars, but
probe grinds forward
NEW YORK (AP) -- The day
after Bernard Madoff received a 150-year prison term, investigators are
continuing their pursuit of other suspects in his massive fraud.
A person close to the
investigation tells The Associated Press no more arrests are imminent, but 10
people are expected to face charges by the time investigators are done.
The person, who spoke on
condition of anonymity because the investigation is ongoing, says authorities
expect the probe to move forward and answer questions about how Madoff pulled
off the multibillion-dollar Ponzi scheme.
By The Associated Press
The Dow Jones industrials
fell 82.38, or 1 percent, to 8,447.00. The blue chips had been down by more
than 100.
The S&P 500 index fell
7.91, or 0.9 percent, to 919.32, while the Nasdaq composite index fell 9.02, or
0.5 percent, to 1,835.04.
Benchmark crude for August
delivery dipped $1.60 to settle at $69.89 a barrel on the New York Mercantile
Exchange.
In other Nymex trading,
gasoline for July delivery fell 3.86 cents to settle at $1.8972 a gallon and
heating oil fell 6.55 cents to settle at $1.718. Natural gas for July delivery
fell 11 cents to settle at $3.835 per 1,000 cubic feet.
In London, Brent prices fell
$1.69 to settle $69.30 a barrel on the ICE Futures exchange. Earlier in the
session, Brent peaked at $73.50.